MyCTSavings is a tool for small businesses to provide a retirement savings plan to employees
Nearly half of Connecticut companies do not offer a retirement savings plan for employees. According to AARP, that’s about 600,000 workers who may not be saving for retirement. To fill that gap, the Office of the State Comptroller is offering MyCTSavings, a retirement savings program for employees, with no cost for employers to sign up.
If you are a business with 5 or more employees and do not offer a qualified retirement savings plan, you must register for MyCTSavings by March 30. If you own a business, here are the basics you need to know:
Your Role in MyCTSavings:
- Businesses with 5 or more employees and who do not offer a retirement savings plan, must register for the program. There is no cost for employers to participate.
- MyCTSavings was designed to be easy through a simple three-step process:
1. Employers register through a secure, online portal with a unique access code.
2. They will then be prompted to upload payroll and employee information in the system.
3. After the employee’s 30 day opt-out period, the employer simply submits their employees’ contributions
each pay cycle and keeps the staff lists up to date.
This video tutorial will walk you through the registration process.
Fact sheets for employers (in English and Spanish) to share with members.
Your Employee’s Role
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When an employer registers, MyCTSavings will set up a Roth IRA for all employees through the payroll process.
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For employees, the program is optional. Employees can opt-out or change their contribution rate at any time. The Roth IRA is “portable” so if your employee changes jobs, the account goes with them. If your small business already offers a retirement savings plan, you will only need to fill out an exemption waiver https://myctsavings.vestwell.com/register/exempt if contacted by the program.
For more information, visit Program Details - MyCTSavings or call 1-833-811-7435 to speak with a representative.
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